Fidelity Nasdaq Composite Index ETF (ONEQ): Complete Beginner's Guide

What is Fidelity Nasdaq Composite Index ETF?

ONEQ tracks nearly every stock listed on the Nasdaq exchange, providing broad exposure to thousands of growth-oriented companies. Unlike funds that only hold the Nasdaq 100, ONEQ includes smaller and mid-sized Nasdaq-listed firms as well. This gives investors a more complete picture of the Nasdaq marketplace beyond just the biggest names.

ONEQ is managed by Fidelity and has been available since 2003. With $6.0B in assets under management, it's a growing fund that has attracted significant investor interest. The fund charges an expense ratio of 0.21%, which means for every $10,000 you invest, you pay approximately $21 per year in management fees.

ONEQ at a Glance — Key Metrics

Top 10 Holdings in ONEQ

ONEQ holds 1,020 different securities. Here are the largest positions that make up the core of this fund:

ONEQ Performance History

Here's how ONEQ has performed over different time periods. Remember that past performance doesn't guarantee future results, but it gives you a sense of the fund's track record:

Beginner Suitability Score: 9/10

Our proprietary Beginner Suitability Score evaluates ETFs based on five factors that matter most to new investors: fees, volatility, diversification, dividend history, and track record length.

ONEQ scores 9/10 because it has very low fees, can be more volatile than the broader market, offers broad diversification across 1,020 holdings, and has been available since 2003, giving it a proven track record.

How to Buy ONEQ — Step by Step

1. Open a brokerage account — We recommend Fidelity, Charles Schwab, or Vanguard for ETF investing. All offer $0 commissions on ETF trades.
2. Fund your account — Transfer money from your bank. You can start with as little as $1 if your broker offers fractional shares.
3. Search for "ONEQ" — Use the search bar in your brokerage platform to find Fidelity Nasdaq Composite Index ETF.
4. Place your order — Choose "Market Order" for simplicity or "Limit Order" if you want to set a specific price. Enter how many shares (or dollar amount) you want to buy.
5. Set up automatic investing — Most brokers let you schedule recurring purchases (e.g., $100/month on the 1st). This is dollar cost averaging in action.

ONEQ Sector Allocation

Here's how ONEQ distributes its investments across different sectors of the economy:

Dollar Cost Averaging Into ONEQ

Here's what consistent monthly investing could look like over time, assuming an average annual return of 8% (approximate historical stock market average):

*Projections assume 8% average annual return with monthly compounding. Actual returns will vary. Past performance doesn't guarantee future results.

Fee impact: With ONEQ's expense ratio of 0.21%, a $10,000 investment would lose approximately $1,779 to fees over 20 years compared to a zero-fee investment. This is significant — consider whether the fund's strategy justifies these costs.

Pros and Cons of ONEQ

Frequently Asked Questions